Aviva Investors and Brookgate also agree long-term CB1 funding partnership
Aviva Investors, acting for Aviva Life and Pensions UK Ltd, and mixed-use development specialist Brookgate have announced the £87 million forward funding of a new speculative office building, 50 & 60 Station Road at CB1, Cambridge. Totalling 163,000 sq ft, the office scheme forms a key part of the CB1 masterplan and is the largest speculative office building to be developed in Cambridge city centre.
Aviva Investors will acquire the site and fund construction of the new Grimshaw-designed Grade A office scheme, which will offer cutting-edge office accommodation. The development has planning consent, with work to begin on site in October 2016, with completion due in February 2019.
In addition, Brookgate and Aviva Investors have entered into a long-term working relationship, with Aviva Investors committed to future development opportunities at CB1. These opportunities will be pursued in response to occupational market demand.
Sven Topel, Chief Executive of Brookgate says: “The speculative funding deal with Aviva Investors is a hugely significant step in the completion of CB1, a key driver for the continued economic importance of Cambridge. Our long-term partnership with Aviva Investors demonstrates our commitment to the city and highlights Cambridge as a strong regional economy. This deal forms part of £385 million of funding secured so far at CB1, helping to ensure that Cambridge continues to attract large multinational firms and retain its position as a major business and technology hub”
Edward Casal, Chief Executive, Global Real Estate says: Cambridge is a city which truly embodies the type of location that we are strategically committed to: one where talented people want to live, work, play and learn. As a widely recognised global hub for life sciences and biotech industries, Cambridge has a bright future and we want to be part of it. Furthermore, it is particularly exciting for Aviva Investors to be entering a long-term relationship with Brookgate and to be committing to the delivery of CB1, a transformative project that has created an office market with strong performance prospects. We are very glad to be a part of it.
Andrew Appleyard, Senior Director, Head of European Specialist Funds at Aviva Investors, commented: “This deal is testament to our belief in the strength of the Cambridge market and the commercial achievements of CB1. We are committed to the delivery and completion of CB1 and to the wider economic growth of Cambridge. This transaction comes at a significant time and shows that with the right opportunity, there is confidence and an appetite for speculative development and investment in the right markets.”
Cambridge continues to evolve as one the UK’s most important business and research clusters with a line-up of international businesses including Microsoft, Mott MacDonald, Deloitte, Thales and Carter Jonas, who are based at the vibrant new city quarter surrounding an upgraded Cambridge station.
A brand new Station Square is nearing completion, with Sainsbury’s, Pret A Manger and Caffé Nero set to front the development, along with new public space, providing a focal point for CB1’s business district.
CB1 is providing a significant boost to Cambridge’s economy by attracting world-class and high-growth businesses, residents and visitors to the area. Designed by Rogers Stirk Harbour + Partners, the masterplan is delivering a state-of-the-art transport interchange, featuring the UK’s largest cycle park with 3,000 spaces, prestigious ‘Grade A’ offices, premium residential, retail and hotel space and purpose-built student residence accommodation.
Bidwells acted for Brookgate on the development funding and will be retained agents on the letting of 50 & 60 Station Road. BCM and Strutt & Parker acted for Aviva Investors on the acquisition.
Notes to editors
Brookgate is a property development and investment company based in Cambridge which specialises in high-quality mixed-use schemes. The company’s mission is to deliver high-quality, modern and sustainable developments that demonstrate social and environmental responsibility.
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